Vista Announces Update for Paredones Amarillos Gold Project
05 November 2009 - 2:50AM
PR Newswire (US)
DENVER, Nov. 4 /PRNewswire-FirstCall/ -- Vista Gold Corp. ("Vista"
or the "Company") (TSX & NYSE Amex: VGZ) is pleased to provide
an update on activities at the Paredones Amarillos gold project in
Baja California Sur, Mexico. Receipt of the Temporary Occupation
Permits ("TOP") was announced on October 28, 2009, and signals the
commencement of a number of activities designed to advance the
development of the project towards construction and the planned
start of production in 2011. Once in production, the Paredones
Amarillos gold project is expected to produce an estimated average
of 143,000 ounces of gold per year during the first five years and
an estimated 1.2 million ounces of gold over the estimated 9.3 year
life of the mine. Permitting As previously announced, with the
receipt of the TOP, the Company now has all the prerequisite
documentation to re-apply for the Change of Forest Land Use Permit
("CFLUP") which is required before the Company can commence
construction of the Paredones Amarillos gold project. The Company
plans to file the application this week and estimates that the
CFLUP will be granted prior to the end of the first quarter 2010.
Project Engineering The Company is preparing a Request for Proposal
to be sent to qualified and interested companies for the provision
of Engineering, Procurement and Construction Management ("EPCM")
services for the project. During the next 30-45 days, Vista expects
to select the EPCM contractor and to commence the first phase of
detailed engineering and design work, so that construction
activities can start as soon as possible following receipt of the
CFLUP. Vista already owns most of the major equipment required for
the process plant (mill), and a recent review indicates that other
major project equipment (including mobile mining equipment) are
expected to be available with reasonable delivery times. The
expected construction period for the project is approximately 15
months. Project Financing Vista continues to advance efforts to
secure appropriate financing for the Paredones Amarillos gold
project's development including discussions with various qualified
banks that may be interested in providing project loans. The
process is expected to take three to five months with completion
being targeted to coincide with the receipt of the CFLUP. Community
Relations On November 4, 5 and 6, 2009, the Company's wholly-owned
Mexican subsidiary, Minera Paredones Amarillos S.A. de C.V. ("MPA")
which holds the Paredones Amarillos gold project, plans to hold a
series of workshops in communities close to the project, including
La Paz. The workshops are part of the Company's ongoing efforts to
keep local residents, government officials and other stakeholders
informed about the Paredones Amarillos gold project and the
measures being taken by the Company to ensure that the Paredones
Amarillos gold project will make a positive contribution to the
community. These workshops are one of several programs developed by
MPA in conjunction with the Mexican consulting group, C3 Consensus,
in an effort to reduce public misconceptions, ensure that correct
project information is disseminated and at the same time, to
receive appropriate stakeholder input which may lead to project
development improvements. More Information about the Paredones
Amarillos Gold Project For more information about the Paredones
Amarillos gold project, please see the technical report entitled
"Feasibility Study Update, NI 43-101 Technical Report, Vista Gold
Corp., Paredones Amarillos Gold Project, Baja California Sur,
Mexico," dated September 1, 2009, prepared by SRK Consulting
(U.S.), Inc. ("SRK") of Lakewood, Colorado. The final report is
available on SEDAR at http://www.sedar.com/. Qualified Person Terry
Braun, P.E., Principal of SRK, an independent "qualified person" as
defined by Canadian National Instrument 43-101 - Standards of
Disclosure for Mineral Projects, supervised the preparation of
scientific and technical information contained in this press
release. About Vista Gold Corp. Since 2001, Vista has acquired a
number of gold projects with the expectation that higher gold
prices would increase their value. For more information about our
projects, including technical studies and resource estimates,
please visit our website at http://www.vistagold.com/. Vista has
taken steps to advance the Paredones Amarillos gold project located
in Baja California Sur, Mexico, towards production. These steps
include the completion of a definitive feasibility study, the
purchase of long-delivery processing equipment, and the purchase of
land for the processing facilities, related infrastructure and the
desalination plant. The results of a preliminary economic
assessment completed in 2009 on the Mt. Todd gold project in
Australia are encouraging and Vista is undertaking other studies to
advance the project, with the completion of a preliminary
feasibility study targeted for late in the fourth quarter of 2009.
Vista's other holdings include the Guadalupe de los Reyes gold
project in Mexico, the Yellow Pine gold project in Idaho, the Awak
Mas gold project in Indonesia, and the Long Valley gold project in
California. Forward-Looking Statements This press release contains
forward-looking statements within the meaning of the U.S.
Securities Act of 1933 and U.S. Securities Exchange Act of 1934 and
forward-looking information within the meaning of Canadian
securities laws. All statements, other than statements of
historical facts, included in this press release that address
activities, events or developments that Vista expects or
anticipates will or may occur in the future, including such things
as the timing and outcome of the application for the CFLUP
application for the Paredones Amarillos gold project, anticipated
plans and timing of commencement of construction, development and
commencement of production at the Paredones Amarillos gold project;
the timing, performance and results of feasibility studies
including the timing and receipt of required land use,
environmental and other permits for the Paredones Amarillos gold
project; the estimated production and life of mine of the Paredones
Amarillos gold project, plans, timing and outcome of project
financing, the timing and outcome of detailed EPCM work, the timing
and availability of project equipment, preliminary assessment
results for the Mt. Todd gold project; and plans and timing for a
preliminary feasibility study at the Mt. Todd gold project; Vista's
future business strategy; goals; operations; plans; potential
project development; future gold prices; Vista's potential status
as a producer including plans and timing of potential production;
and other such matters are forward-looking statements and
forward-looking information. When used in this press release, the
words "estimate", "plan", "will", "target", "anticipate", "expect",
"intend", "believe" and similar expressions are intended to
identify forward-looking statements and forward-looking
information. These statements involve known and unknown risks,
uncertainties and other factors which may cause the actual results,
performance or achievements of Vista to be materially different
from any future results, performance or achievements expressed or
implied by such statements. Such factors include, among others,
risks relating to gold prices, general economic conditions, delays
and incurrence of additional costs in connection with our Paredones
Amarillos gold project, including uncertainty relating to timing
and receipt for required governmental permits; uncertainty relating
to timing and outcome of CFLUP application for the Paredones
Amarillos gold project, uncertainty of feasibility study results
and preliminary assessments and of estimates on which such results
are based; risks relating to delays in commencement and completion
of construction at the Paredones Amarillos and Mt. Todd gold
projects; risks of significant cost increases; risks of shortages
of equipment or supplies; risks that Vista's acquisition,
exploration and property advancement efforts will not be
successful; risks relating to fluctuations in the price of gold;
the inherently hazardous nature of mining-related activities;
uncertainties concerning reserve and resource estimates; potential
effects on Vista's operations of environmental regulations in the
countries in which it operates; risks due to legal proceedings;
risks relating to political and economic instability in certain
countries in which it operates; risks related to repayment of debt;
risks related to increased leverage; and uncertainty of being able
to raise capital on favorable terms or at all; as well as those
factors discussed in Vista's latest Annual Report on Form 10-K, as
amended and Quarterly Report on Form 10-Q and other documents filed
with the U.S. Securities and Exchange Commission and Canadian
securities regulatory authorities. Although Vista has attempted to
identify important factors that could cause actual results to
differ materially from those described in forward-looking
statements and forward-looking information, there may be other
factors that cause results not to be as anticipated, estimated or
intended. There can be no assurance that such statements will prove
to be accurate as actual results and future events could differ
materially from those anticipated in such statements. Except as
required by law, Vista assumes no obligation to publicly update any
forward-looking statements or forward-looking information, whether
as a result of new information, future events or otherwise. For
further information, please contact Connie Martinez at (720)
981-1185, or visit the Vista Gold Corp. website at
http://www.vistagold.com/ DATASOURCE: Vista Gold Corp. CONTACT:
Connie Martinez, +1-720-981-1185, for Vista Gold Corp. Web Site:
http://www.vistagold.com/
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